Meta Reportedly Estimated $16 Billion From Scam Ads in Internal Documents, Mark Cuban Says Facebook Knew

At a glance

According to internal Meta documents obtained by Reuters, revenue from scam and banned-product ads was estimated at $16 billion, about 10% of Meta's total revenue in 2024. Mark Cuban criticized Facebook for running AI deepfake ads that impersonate him and deceive older people, even though it knows they are scams. Meta responded that the documents do not properly reflect its actions.

Key points

1. 1

   Cuban said he receives weekly inquiries about fake diabetes treatment ads, even though he never sold such a product.

2. 2

   According to the internal documents, an automated system must judge a scam risk at 95% or higher before an advertiser is blocked.

3. 3

   Suspicious advertisers that do not meet the standard can keep advertising by paying higher ad rates.

4. 4

   The U.S. Securities and Exchange Commission (SEC) is reportedly investigating Meta over financial scam ads.

Why it matters

Older people are suffering serious harm from scam ads, so the standards platforms use to block ads are important.